Distribution companies have been financially sick and payment have been stuck for both renewable an conventional sources of electricity.Debapriya Mondal | ETEnergyWorld | Updated: September 18, 2016, 09:21 IST

New Delhi: The government is talking to power distribution companies in various states to clear their outstanding dues to wind energy players, a senior ministry official said.

The Ministry of New and Renewable Energy is in talks with the distribution utilities to clear the dues of around Rs 3,000 crore which is currently outstanding with various wind power generation companies.

The ministry has also asked the discoms not to discriminate between the payments of companies in renewable and other sources of energy. “There are dues of Rs 2000-3000 crore and we have taken it up with the distribution companies. We have also asked them not to discriminate with the payment within the conventional sources and the wind sector. So they are taking care of it,” the official told ETEnergyWorld.

The Renewable Purchase Obligation (RPO) has been a driving force in India to promote the renewable energy sector. State Electricity Regulatory Commissions (SERCs) have defined their respective RPO Regulations.

Around 40 per cent of wind energy capacity is currently stuck due to issues regarding payments by various distribution companies to generators. As per the official, the payment is held up for the last one year, and it is not among all discoms.

“Gujarat is a good paymaster and there are no issues with Tamil Nadu, too. The problem is with Maharashtra, Rajasthan and Madhya Pradesh. But it is not so much,” the official added.

Distribution companies have been financially sick and payment have been stuck for both renewable an conventional sources of electricity. The government hopes as the benefits of the discom reform scheme UDAY kick in, the states will be able to clear most of these dues.

The government plans to take India's renewable energy capacity to 175 Giga Watt by 2022 which comprises 100 GW solar, 60 GW wind, 10 GW from biomass and 5 GW from small hydro powers.

Around 3,300 Mw wind power capacity was added in 2015-16 as compared to the previous highest installation of 3,196 MW in 2011, propelled by technology and conducive policy environment for the renewable sector.

The industry has attracted an investment of over $3.16 billion and the cumulative installations of the sector is around 64 per cent of India's total grid-interactive renewable energy capacity.